Studies See Emissions ‘Leakage’ Risks From Carbon Border Policies

November 5, 2021
New analysis of carbon border adjustment (CBA) proposals in the United States and European Union show such policies are generally ineffective at reducing global carbon emissions because of the potential for emissions “leakage” while protecting energy-intensive trade-vulnerable producers, such as iron, steel and chemical. “In no case can border adjustments eliminate overall leakage,” said Carolyn Fischer, a research manager at the World Bank, during a Nov. 3 event hosted by the environmental think tank Resources for the Future (RFF). She...


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